Can Epcon Communities limit a franchisee's right to use the Higharc Services?

According to Epcon Communities' 2025 Franchise Disclosure Document, Epcon Communities has the authority to limit a franchisee's access to Higharc Services. The FDD states that Epcon Communities may, at its sole discretion, suspend, limit, or revoke a franchisee's right to use Higharc Services if it determines that the franchisee, its agents, employees, or owners have failed to comply with the requirements and obligations pertaining to these services.

This means that a franchisee's access to essential construction-related services provided through the Higharc platform is not guaranteed and can be withdrawn if Epcon Communities believes there has been a failure to comply with the relevant requirements. These Higharc Services include access to current versions of the 'P-Series' and 'R-Series' plans, a community management tool, enhanced sales and marketing materials, job-specific construction drawings, and the generation of key measure reports for estimating material quantities.

Even if a franchisee's access to Higharc Services is suspended, limited, or revoked, the franchisee's obligation to pay the Technology Royalty continues without reduction until all amounts owed to Epcon Communities are paid in full. This creates a potential financial risk for franchisees, as they must continue to pay for a service they may no longer be able to use.

Prospective franchisees should carefully review the terms and conditions related to the use of Higharc Services and understand the potential circumstances under which their access could be limited or revoked. It would be prudent to discuss these conditions with Epcon Communities to gain a clearer understanding of the requirements and obligations and to assess the potential risks involved.